What is state capitalism?

Ideology

State capitalism is a political and economic system in which the state owns and controls the means of production and the allocation of capital, while still operating within a market framework.

The state holds significant stakes in key industries and may run enterprises directly. Prices, wages, and the distribution of goods are determined by supply and demand, rather than by central planning. Private firms still exist, but they operate alongside state-owned entities. Both state-run and private firms aim to generate profit.

Despite operating within a market, state capitalism is prone to inefficiencies, cronyism, and reduced competition, all of which undermine the benefits of a truly free market. Additionally, as with other authoritarian regimes, state capitalism heavily restricts individual liberties, engages in censorship, and employs propaganda to maintain the status quo.

Followers

State capitalists feign support for maximum economic freedom while imposing maximum restrictions on cultural freedom. State capitalists oppose economic regulations unless advantageous. State capitalists do not tolerate criticism of their ideology.

Allies

State capitalists will ally themselves with other capitalists, known as useful idiots, for as long as they derive utility from the association. Once their usefulness ends, state capitalists will betray their allies, often with deadly force.

As they lean toward the authoritarian side of the political spectrum, state capitalists will view capitalists on the libertarian side of the spectrum with suspicion and mistrust. As such, they are less likely to ally with these capitalists.

Enemies

State capitalists consider liberals and socialists to be their enemies and seek to destroy them utterly for daring to end the tradition of mercantilism that was practiced for most of human history. State capitalists will employ entryist strategies to infiltrate and subvert liberal and socialist organisations so as to destroy them from within.

Location on the political spectrum

State capitalism is located at the far-top far-right of the political spectrum. It is bordered by neo-conservatism, authoritarian capitalism, and corporatism. As it is a fringe ideology, state capitalism does not occupy as much space on the spectrum as more mainstream ideologies.